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OEE Fundementals
August 29, 2009 |
OEE gives a measurement of the overall efficiency of a machine or that of a whole factory. OEE can have a large effect towards the productivity of a production system. Use of software systems invariably changes the OEE score by more than 10% over the first year. It has been proven that improving the Overall Equipment Effectiveness of only one percent produces a significant change in the machine’s through put and savings in the unit cost of the manufactured product.
The OEE score is calculated from three components: Availability (A), Performance (P) and Quality (Q).
- Availability is the percentage of uptime of each asset
- Performance is the percentage throughput against a target
- Quality is the percentage of waste.
Overall Equipment Effectiveness = A x P x Q.
OEE in Practical Usage
Overall Equipment Effectiveness is useful as a key performance indicator for all levels of management. At a high level OEE looks relatively simple, it can be {extremely, highly} complex to calculate in practice. For this reason, sophisticated OEE software packages are normally used to record the data from each machine and make the OEE calculation quickly. Typically this software is of a modular structure to give it maximum flexibility and allow it to fit with existing plant and data capture facilities and enterprise resouce planning system.
Once the data has been capture and analysed, it is only of benefit if it can be converted into reports that are accurate. OEE software from the main vendors gives a selection of reports that can be customzed and drilled down into, to enable the user to find what he is focused on.
OEE is becoming as the essential element of lean manufacturing. through continuous improvements a production line can become more energy efficient, improve productivity and reduce management finger-pointing as well as manage risk. All aspects of manufacturing must comprehend the principles and practice of OEE and how it fits into the lean manufacturing philosophy as a essential element of driving efficiency.
